January 12, 2005

To: State Employees
From: Governor Sebelius
Re: Health Care Reorganization

Today I will submit an Executive Reorganization Order to restructure and streamline state health care purchasing and management. This reorganization has great promise to improve the health of state employees while also curbing the spiraling costs that the state pays for health care.

I realize many of you may be wondering how this will affect you. Day-to-day operations will not be significantly affected and the reorganization will not result in lay-offs. The savings we hope to achieve will accrue by using the combined purchasing power of the various state health care programs.

Similarly, the reorganization will not diminish the quality of health care benefits offered to state employees. It does have the potential to use new technology to improve health care by bringing the state employee and Medicaid health plans under the management of a single division. It will not, however, combine the two plans into a single program.

I have enclosed a copy of the Executive Reorganization Order message as well as a letter to state employees from November 9th outlining the details of the plan.

Thank you all for the work that you do for the good of this great state,

Governor Kathleen Sebelius